Health status and labour force participation among older workers: a growth curve analysis

Abstract

Abstract Objectives We investigate how individual trajectories of health status and labor force participation among older workers in Switzerland are interrelated and how this relationship varies by occupation. Methods We use data from the Swiss Household Panel (SHP) to analyze the long-term trajectories of older workers, measured in terms of working hours and general health status. The sample includes more than 7,000 workers aged 50 to 65(men)/64(women). We run a bivariate response multilevel model for growth that allows examining between- and within-individual changes over time. Results All occupational groups become more heterogeneous in terms of health status with increasing age. At the same time, working hours decrease in all occupational groups with increasing age. A look at the individual level indicates that the working hours of manual workers seem to be more dependent on their health status compared to those of non-manual workers and that this dependence increases over time. This result confirms our hypothesis that the labor market participation of manual workers is more sensitive to their health status. Conclusions Our findings contribute to the debate about the importance of older workers' health in the context of working life extension. Key messages All occupational groups become more heterogenous in terms of health status with increasing age, however working hours of manual workers seem to be more dependent on their health status. Manual workers experience a stronger effect of health on working hours and that this effect increases over time, therefore prevention of ill health may be particularly beneficial in manual workers.